RHS Loan

DEFINITION of 'RHS Loan'

A loan made by or guaranteed by the United States Department of Agriculture Rural Housing Service (RHS). The RHS lends both directly to low income borrowers in rural areas and guarantees loans that meet RHS requirements made by approved lenders. RHS mortgage loans may be part of a pool of mortgages securitized by the Government Nation Mortgage Association (Ginnie Mae).

BREAKING DOWN 'RHS Loan'

The RHS originates and guarantees more than home mortgages. The RHS operates loan programs for community services such as health care clinics, police and fire stations, schools, and childcare centers.

RELATED TERMS
  1. Rural Housing Service - RHS

    An administrative division within the U.S. Department of Agriculture ...
  2. Right Hand Side - RHS

    The ask or offer price of a foreign exchange rate. A quote for ...
  3. Ginnie Mae - Government National ...

    A U.S. government corporation within the U.S. Department of Housing ...
  4. Whole Loan

    A single residential or commercial mortgage that a lender has ...
  5. Combination Loan

    1. A transaction consisting of two separate loans for the same ...
  6. Ginnie Mae Pass Through

    A type of investment issued by the Government National Mortgage ...
Related Articles
  1. Credit & Loans

    Why It’s So Hard to Get Small Mortgage Loans

    Finding a lender to provide a mortgage loan for less than $50,000: It's a challenge faced by a surprising number of people, and one that's often tough to solve.
  2. Options & Futures

    The Reverse Mortgage: A Retirement Tool

    Discover another way to fund your retirement without having to make payments on a loan.
  3. Credit & Loans

    5 Mortgage Loans You Didn't Know About

    These lesser known mortgage loans are often overlooked by potential home buyers.
  4. Home & Auto

    Conventional Loans

    Conventional loans are fixed-rate mortgages that are not insured or guaranteed by the federal government.
  5. Credit & Loans

    When You Need a Jumbo or Super-Jumbo Mortgage

    Rising housing prices have made so-called jumbo and super-jumbo loans a necessity for more homebuyers.
  6. Professionals

    Agency Issues

    The federal government has authorized certain agencies and certain quasi agencies to issue debt securities that are collectively referred to as “agency issues”. Revenues generated ...
  7. Home & Auto

    Homebuyers' Walkthrough: Which Type Of Mortgage Is Best?

    Most homebuyers will need to secure a mortgage to finance their home. The lending climate has changed following the late 2000s financial crisis, and it may be more difficult to get approved for ...
  8. Credit & Loans

    All About Government Loans

    There are many reasons to seek a government loan rather than one from a private lender. Government loans typically have low interest rates and offer fixed or subsidized options, as well as deferred ...
  9. Retirement

    Reverse Mortgages: How They Can Cushion Retirement

    Reverse mortgages can add some wiggle room to your retirement budget. Here's the lowdown on how to use them — and how not to.
  10. Credit & Loans

    Millennials Guide: How to Pick the Right Mortgage

    Here’s help in finding the perfect, affordable loan for that home you have been dreaming about.
RELATED FAQS
  1. What’s the difference between a mortgage lender and a mortgage servicer?

    Buying a home is an exciting and confusing process. Once the loan is secured, it's important to know who gets the payment: ... Read Answer >>
  2. How does the loan-to-value ratio affect my mortgage payments?

    Understand what the loan to value ratio is, how the ratio is calculated and learn how it has an impact on your mortgage payments ... Read Answer >>
  3. What is a Ginnie Mae security?

    A Ginnie Mae, or Government National Mortgage Association security, functions similarly to the process of lending someone ... Read Answer >>
  4. What is the 1003 mortgage application form?

    Learn about the 1003 mortgage application form, what information it requires and why this form is the industry standard for ... Read Answer >>
  5. Are mortgage-backed securities backed by any guarantees?

    Actually, any mortgage-backed security (MBS) guarantee depends on who issued it.To review, an MBS is a security, created ... Read Answer >>
  6. What is the difference between a PMI (primary mortgage insurance) loan and a Federal ...

    Understand the difference between a conventional mortgage that requires primary mortgage insurance and a Federal Housing ... Read Answer >>
Hot Definitions
  1. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  2. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  3. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  4. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  5. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
  6. Generally Accepted Accounting Principles - GAAP

    The common set of accounting principles, standards and procedures that companies use to compile their financial statements. ...
Trading Center